Staying accustomed to the key performance indicators of your company is very important. It lets you know how your company is doing. For most business owners, the focus is in creating new or more products and they ignore some of the most important metrics altogether. If you have been doing this, it is time you allotted extra resources to inventory metrics. The metrics you track today will be instrumental resources to your business in the future.
There are so many fundamental metrics you have to follow as well as analyze for your company. There is even a good chance you have been analyzing these metrics already. The objective of this post, however, is not to focus on the obvious such as cycle time and turnover but on the 4 crucial metrics of an inventory management system that most retailers tend to ignore.